GBP Depreciated Against USD & EUR - Brexit Talks In Pause
- Trade Magnates Team
- Oct 12, 2017
- 1 min read
Trade Magnates -British Prime Minister, Theresa May, has been challenged if a deal with the eurozone can be negotiated following Brexit. The British pound declined from a one-week high against the U.S. dollar on Thursday at 1.3140 after reaching a week high of 1.3265 that was reached earlier in the day. Also, the pound has depreciated against the EUR at 0.9002. The decline was right after the announcement made by the EU chief negotiator, Michel Barnier, that Brexit talks were at a dead-end.
Barnier added that the U.K. had told the EU that they were not ready to specify how much the nation should pay in exit fees. British Prime Minister, Theresa May, had told parliament on Monday that there would be a two-year transition period following Britain's exit from the European Union and the preparations were underway in case a deal is not reached regarding future trades between UK and EU.
A day after the minutes of the Fed’s September meeting that showed uncertain expectation on inflation, the US Dollar has gained strength as the jobless claims fell more than expected to 243,000 last week. The upcoming inflation data will determine if a rate hike might be seen.